Private Credit Salaries – UK and US (2025)

Released on March 4, this fresh study from RCQ Associates dives into private credit hiring trends and compensation benchmarks in the UK and US for 2025. It highlights key market dynamics, including the surge in CLO hiring, the rise of ABL strategies, and the competitive landscape for senior roles.

The report also breaks down salary and bonus expectations across banking, buy-side, and structured finance positions, giving professionals a clearer picture of where the market is heading.

If you’re looking to dive deeper into private credit, our distressed debt case study, LBO model or WSO modelling courses are especially useful.

United Kingdom: Robust Market Growth and Increasing Compensation

In 2025, the UK private credit market anticipates steady growth, driven by rising participation from new entrants such as financial institutions initiating Asset-Based Lending (ABL) strategies. London remains a global hub for attracting niche talent, particularly in Synthetic Risk Transfer (SRT) roles.

Key UK Market Trends:

• CLO hiring surged in 2024, sustained by high issuance volumes despite geopolitical and economic uncertainties. Talent demand in this area remains strong into 2025.
• CMBS recruitment has returned to peak activity levels, driven by increasing issuance and investor confidence.
• RMBS sector hiring remains relatively subdued, reflecting ongoing challenges with high-interest rates affecting issuance volumes.

UK Compensation Snapshot (GBP):

Structured Finance Origination, Structuring & Distribution

Structured Finance Credit Risk

Structured Finance Sales & Trading

Structured Finance – Portfolio Manager

Structured Finance – Credit Research

Private Credit – Investment Professionals

Private Credit – Investor Relations

Private Credit – Middle Office/Operations

United States: Strong Recovery and Competitive Talent Landscape

The US private credit market saw a robust rebound in hiring activity in late 2024, particularly within CLO, ABL, and private credit sectors. A notable influx of insurance capital into private credit significantly accelerated hiring activity on the buy-side.

Key US Market Trends:

• CLO issuance in 2024 reached around $465 billion, with projections for 2025 potentially surpassing historical records, driven by favorable market conditions.
• A notable increase in hiring concentrated in the New York metro area (62% of hires), driven by stricter return-to-office policies by banks and buy-side firms.
• Hiring competition remained fierce at senior associate, VP, and director levels, with less external hiring activity for analyst and associate roles.
• Compensation negotiations showed increased leverage for candidates, driven by robust market conditions and improved employer confidence.

US Compensation Snapshot (USD):

CLO/Liquid Credit:

Private Credit & Asset-Backed Finance:

Capital Formation/Fundraising:

Issuer & Fintech Capital Markets:

Accelerated Hiring Timelines

Hiring timelines have significantly accelerated, with structured finance and private credit roles averaging just 31 days from initial screening to offer acceptance, down notably from previous years. This swift hiring cycle reflects heightened market confidence, employers’ clearer strategic direction, and increased decisiveness in securing top talent amidst intense competition, especially at VP and Director levels.

Outlook for 2025

Looking forward, both US and UK markets are positioned for sustained strength, bolstered by ongoing investor interest and advantageous market conditions. Demand for senior roles, particularly Vice Presidents and Directors, is expected to intensify, resulting in elevated compensation levels and increased turnover as competition for talent escalates. Employers should anticipate and proactively manage these dynamics by refining their talent strategies, compensation structures, and retention efforts to effectively compete in a highly active market

References

• RCQ Associates (US)
• RCQ Associates (UK)